TEXAS ALL LINES ADJUSTER EXAM QUESTIONS
AND CORRECT ANSWERS) VERIFIED ANSWERS
at the residence or elsewhere - When handing a homeowner's content claim, you
should establish if the loss happened
__________________________________________ to help determine the total limit of
liability that will apply to the claim.
$14,220 - Your policyholder has a Homeowner's Policy with the following limits on it
COV A limit is $158,000 COV B limit is $90,000 His home has a detached garage. His
home and detached garage were completely destroyed in a fire loss. What is the
maximum that he can receive for his detached garage? $15,800 MINUS A 1%
DEDUCTIBLE=
Total Loss is $4950.00 less 1% deductible OF $85,000 = $850.00 = $4100.00 - COV A
limit is $85,000 COV B limit is $ 46,000Your policyholder lives in Houston, Texas. While
on vacation in Detroit, Michigan someone steals the following
items from his house in Houston. How much will you pay for this loss? Electronics
$1,600, Clothing $850, Golf Clubs $1,500, Shoes $600, Luggage $400,
Loss is $7850 is the total loss. 1% of COV A =$750.00 Amount to be paid is $7100.00 -
COV A limit is $75,000 COV B limit is $36,000 Your policyholder lives in Houston,
Texas. While on vacation in Detroit, Michigan someone steals the following items from
his house in Houston. How much will you pay for this loss? Electronics $1,600, Clothing
$850, Business Laptop $3000 ONLY PAYS $2500, Music CD's $500, Golf Clubs
$1,500, Shoes $900
1. Money or Bank Cards 2. Valuable Papers, deeds, stamps BULLIONS etc. 3. Jewelry
Watches or furs - Name 3 things that are subject to "Special Limits of Liability" under the
HO-B
Coverage A - Under a HO-B policy, the dwelling/structure is covered for what types of
losses?
Coverage B - Under a HO-B policy, the contents are covered under what Coverage?
1)Fire and Lightening, 2) Sudden and Accidental Damage from Smoke, 3) Windstorm ,
Hurricanes and Hail, 4)Explosion 5) Aircraft 6) Vandalism and Malicious Mischief 7) Riot
and Civil Commotion 8) Collapse of a building, or part of a building 9) accidental
discharge overflow of water or Steam form plumbing, heating, air conditioning, system
or household appliance 10) Falling objects, 11) Freezing, 12) theft or attempted theft -
List the 12 named perils that contents are covered for under the HO-B?
, $250 - What is the maximum amount for coverage for a covered loss to a tree?
Subrogate Subrogation is the right for an insurer to legally pursue a third party that
caused an insurance loss to the insured. This is done as a means of recovering the
amount of the claim paid by the insurance carrier to the insured for the loss. - While
investigating a claim, you determine that the loss was caused by a defective mechanism
in the dishwasher. You would attempt to_________________________?
Appraisal - What is the process when an insurer and an insured have a dispute
regarding the amount of damage?
Material Misrepresentation -
__________________________________________________is a significant
misstatement in an application form. If a company had access to the correct information
at the time of application, the company might not have agreed to accept the application.
Age, Condition and Life Expectancy - As an adjuster, you should base depreciation on
these three factors?
Umpire - An_________________ is a person hired by the property owner to settle the
claim with insurance company on their behalf.
HO-A - This type of policy provides coverage only for those perils that are listed in the
policy?
Additional Living Expenses - _________________________ are extra charges covered
by homeowner's policies over and above the policyholder's customary living expenses.
Occurrence - _______________________is an event that results in an insured
loss/damages?
Actual Cash Value - What is value of your property, based on the current cost to replace
it, minus depreciation?
Incurred Expenses - Expenses that have already sustained and that have not yet been
paid are known as ____________________________________.
Declarations Page - ________________________________is the part of the written
insurance policy that states all the policy's specific's, including the name of the
policyholder, the type of property insured, the premiums, and the term limits for the
coverage.
Negligence - What is the failure to use that degree of care which an ordinary person of
reasonable prudence would use under similar circumstances?
AND CORRECT ANSWERS) VERIFIED ANSWERS
at the residence or elsewhere - When handing a homeowner's content claim, you
should establish if the loss happened
__________________________________________ to help determine the total limit of
liability that will apply to the claim.
$14,220 - Your policyholder has a Homeowner's Policy with the following limits on it
COV A limit is $158,000 COV B limit is $90,000 His home has a detached garage. His
home and detached garage were completely destroyed in a fire loss. What is the
maximum that he can receive for his detached garage? $15,800 MINUS A 1%
DEDUCTIBLE=
Total Loss is $4950.00 less 1% deductible OF $85,000 = $850.00 = $4100.00 - COV A
limit is $85,000 COV B limit is $ 46,000Your policyholder lives in Houston, Texas. While
on vacation in Detroit, Michigan someone steals the following
items from his house in Houston. How much will you pay for this loss? Electronics
$1,600, Clothing $850, Golf Clubs $1,500, Shoes $600, Luggage $400,
Loss is $7850 is the total loss. 1% of COV A =$750.00 Amount to be paid is $7100.00 -
COV A limit is $75,000 COV B limit is $36,000 Your policyholder lives in Houston,
Texas. While on vacation in Detroit, Michigan someone steals the following items from
his house in Houston. How much will you pay for this loss? Electronics $1,600, Clothing
$850, Business Laptop $3000 ONLY PAYS $2500, Music CD's $500, Golf Clubs
$1,500, Shoes $900
1. Money or Bank Cards 2. Valuable Papers, deeds, stamps BULLIONS etc. 3. Jewelry
Watches or furs - Name 3 things that are subject to "Special Limits of Liability" under the
HO-B
Coverage A - Under a HO-B policy, the dwelling/structure is covered for what types of
losses?
Coverage B - Under a HO-B policy, the contents are covered under what Coverage?
1)Fire and Lightening, 2) Sudden and Accidental Damage from Smoke, 3) Windstorm ,
Hurricanes and Hail, 4)Explosion 5) Aircraft 6) Vandalism and Malicious Mischief 7) Riot
and Civil Commotion 8) Collapse of a building, or part of a building 9) accidental
discharge overflow of water or Steam form plumbing, heating, air conditioning, system
or household appliance 10) Falling objects, 11) Freezing, 12) theft or attempted theft -
List the 12 named perils that contents are covered for under the HO-B?
, $250 - What is the maximum amount for coverage for a covered loss to a tree?
Subrogate Subrogation is the right for an insurer to legally pursue a third party that
caused an insurance loss to the insured. This is done as a means of recovering the
amount of the claim paid by the insurance carrier to the insured for the loss. - While
investigating a claim, you determine that the loss was caused by a defective mechanism
in the dishwasher. You would attempt to_________________________?
Appraisal - What is the process when an insurer and an insured have a dispute
regarding the amount of damage?
Material Misrepresentation -
__________________________________________________is a significant
misstatement in an application form. If a company had access to the correct information
at the time of application, the company might not have agreed to accept the application.
Age, Condition and Life Expectancy - As an adjuster, you should base depreciation on
these three factors?
Umpire - An_________________ is a person hired by the property owner to settle the
claim with insurance company on their behalf.
HO-A - This type of policy provides coverage only for those perils that are listed in the
policy?
Additional Living Expenses - _________________________ are extra charges covered
by homeowner's policies over and above the policyholder's customary living expenses.
Occurrence - _______________________is an event that results in an insured
loss/damages?
Actual Cash Value - What is value of your property, based on the current cost to replace
it, minus depreciation?
Incurred Expenses - Expenses that have already sustained and that have not yet been
paid are known as ____________________________________.
Declarations Page - ________________________________is the part of the written
insurance policy that states all the policy's specific's, including the name of the
policyholder, the type of property insured, the premiums, and the term limits for the
coverage.
Negligence - What is the failure to use that degree of care which an ordinary person of
reasonable prudence would use under similar circumstances?
